Shell Corp. ContaminationSettlement

Shell Oil Products has settled a lawsuit with Orange County, California officials in regards to contamination around the company's gas stations in the county. Shell has agreed to pay an unlimited amount for clean up of the contamination, as well as $10.5 million to test for leaks in underground gas storage containers, $3.5 million in reimbursement for the cost of the legal proceedings and $500,000 to be split amongst four fire departments and the county's Health Care Agency to help them regulate underground storage tank programs. The suit was filed 6 years ago when officials found that the majority of Shell and Texaco stations in Orange County were contaminating the ground around them due to leaks in their storage tanks. Although the leaks did not go deep enough to affect drinking water supplies for the county, it did contaminate the soil and ground water that was close to the leaking tanks. Although Shell allegedly did not abide by environmental regulations when the suit was first filed, a Shell spokesperson declared that "Shell entered into this settlement voluntarily", while also denying any liability on the part of the company. The settlement was considered a first, as county officials were able to win before any damage was done to the water supply. (Jan-07-05) [HOUSTON BUSINESS JOURNAL]

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